(c) TRANSITION RULE.--Notwithstanding
section 10(d) of the Federal
Deposit Insurance Act (as added by subsection (a)), during the period
beginning on the date of enactment of this Act and ending on December
31, 1993, a full-scope, on-site examination of an insured depository
institution is not required more often than once during every 18-month
period, unless--

(1) the institution, when most recently examined, was found to be
in a less than satisfactory condition; or

(2) 1 or more persons acquired control of the institution.

[Codified to 12 U.S.C. 1820 note]

[Source: Section 111(c) of title I of the Act of December 19, 1991
(Pub. L. No. 102--242; 105 Stat. 2241), effective December 19,
1991]

(d) EXAMINATION IMPROVEMENT PROGRAM.--

(1) IN GENERAL.--The appropriate Federal banking
agencies, acting through the Federal Financial Institutions Examination
Council, shall each establish a comparable examination improvement
program that meets the requirements of paragraph (2).

(2) REQUIREMENTS.--An examination improvement program
meets the requirements of this paragraph if, under the program, the
agency is required--

(A) to periodically review the organization and training of the
staff of the agency who are responsible for conducting examinations of
insured depository institutions and to make such improvements as the
agency determines to be appropriate to ensure frequent, objective, and
thorough examinations of such institutions; and

(B) to increase the number of examiners, supervisors, and other
individuals employed by the agency in connection with conducting or
supervising examinations of insured depository institutions to the
extent necessary to ensure frequent, objective, and thorough
examinations of such institutions.

[Codified to 12 U.S.C. 3305 note]

[Source: Section 111(d) of title I of the Act of December 19, 1991
(Pub. L. No. 102--242; 105 Stat. 2241), effective December 19, 1991]

Subtitle C--Accounting Reforms

SEC. 122. SMALL BUSINESS AND SMALL FARM LOAN
INFORMATION.

(a) IN GENERAL.--Before the end of the 180-day period
beginning on the date of the enactment of this Act, the appropriate
Federal banking agency shall prescribe regulations requiring insured
depository institutions to annually submit information on small
businesses and small farm lending in their reports of condition.

[Codified to 12 U.S.C. 1817 note]

[Source: Section 122(a) of title I of the Act of December 19, 1991
(Pub. L. No. 102--242; 105 Stat. 2251), effective December 19,
1991]

(b) CREDIT AVAILABILITY.--The regulations prescribed under
subsection (a) shall require insured depository institutions to submit
such information as the agency may need to assess the availability of
credit to small businesses and small farms.

[Codified to 12 U.S.C. 1817 note]

[Source: Section 122(b) of title I of the Act of December 19, 1991
(Pub. L. No. 102--242; 105 Stat. 2251), effective December 19,
1991]

(d) CONTENTS.--The information required under subsection
(a) may include information regarding the following:

(1) The total number and aggregate dollar amount of commercial
loans and commercial mortgage loans to small businesses.

(2) Charge-offs, interest, and interest fee income on commercial
loans and commercial mortgage loans to small businesses.

(3) Agricultural loans to small farms.

[Codified to 12 U.S.C. 1817 note]

[Source: Section 122(d) of title I of the Act of December 19, 1991
(Pub. L. No. 102--242; 105 Stat. 2251), effective December 19, 1991]

Subtitle E--Least-Cost Resolution

SEC. 143. EARLY RESOLUTION.

(a) IN GENERAL.--It is the sense of the Congress that the
Federal banking agencies should facilitate early resolution of troubled
insured depository institutions whenever feasible if early resolution
would have the least possible long-term cost to the deposit insurance
fund, consistent with the least-cost and prompt corrective action
provisions of the Federal Deposit Insurance Act.

[Codified to 12 U.S.C. 1823 note]

[Source: Section 143(a) of title I of the Act of December
19, 1991 (Pub. L. No. 102--242; 105 Stat. 2281), effective December 19,
1991]

(b) GENERAL PRINCIPLES.--In encouraging the Federal
banking agencies to pursue early resolution strategies, the Congress
contemplates that any resolution transaction under section 13(c) of
that Act would observe the following general principles:

(1) COMPETITIVE NEGOTIATION.--The transaction should be
negotiated competitively, taking into account the value of expediting
the process.

(2) RESULTING INSTITUTION ADEQUATELY CAPITALIZED.--Any
insured depository institution created or assisted in the transaction
(hereafter the "resulting institution") and any institution
acquiring the troubled institution should meet all applicable minimum
capital standards.

(4) CONCESSIONS.--Preexisting owners and debtholders of
any troubled institution or its holding company should make substantial
concessions.

(5) QUALIFIED MANAGEMENT.--Directors and senior
management of the resulting institution should be qualified to perform
their duties, and should not include individuals substantially
responsible for the troubled institution's problems.

(6) FDIC'S PARTICIPATION.--The transaction should give
the Federal Deposit Insurance Corporation an opportunity to participate
in the success of the resulting institution.

(7) STRUCTURE OF TRANSACTION.--The transaction should,
insofar as practical, be structured so that--

(A) the Federal Deposit Insurance Corporation--

(i) does not acquire a significant proportion of the troubled
institution's problem assets;

(ii) succeeds to the interests of the troubled institution's
preexisting owners and debtholders in proportion to the assistance the
Corporation provides; and

(iii) limits the Corporation's assistance in term and amount; and

(B) new investors share risk with the Corporation.

[Codified to 12 U.S.C. 1823 note]

[Source: Section 143(b) of title I of the Act of December 19, 1991
(Pub. L. No. 102--242; 105 Stat. 2281), effective December 19,
1991]

(c) REPORT.--Two years after the date of enactment of this
Act, the Federal Deposit Insurance Corporation shall submit a report to
Congress analyzing the effect of early resolution on the deposit
insurance funds.

[Codified to 12 U.S.C. 1823 note]

[Source: Section 143(c) of title I of the Act of December 19, 1991
(Pub. L. No. 102--242; 105 Stat. 2282), effective December 19,
1991]